I wrote my previous post, “The trouble with Transgasm and its magical foundation,” based on how Transgasm claimed it functioned. But I suspect that the reality of its inner working is probably worse. This post, unlike the last one, is my speculation as to how Transgasm actually will operate. It is a speculation, but not a far-fetched “worse case scenario”: I believe that what I describe is not just possible, but probable.

In the last post, I summarized Transgasm’s claim:

According to Transgasm FAQ, Transgasm will teach trans people how to produce downloadable contents that can be sold via its website. Once the contents are sold, creators are paid 50% of the sale, plus 25% “paid forward” to pay for surgery for someone else on the “surgery list,” and the last 25% is withheld to keep the project itself going.

I explained how this scheme is already unworkable and illegal, but to be honest, I don’t believe that this is how it actually works.

My speculation is that vast majority of “downloadable contents” sold on Transgasm have little to no market value. My speculation is that Transgasm will sell them at an unreasonable and excessive markup.

Further, my speculation is that people will be able to move up on the “surgery list” on the basis of their sales, which will encourage them to buy their own contents multiple times to get closer to the coveted award. Transgasm earns $1 for every $1 “paid forward” for the surgery fund, which will be a lot if many people buy their own stuff in order to move up on the list.

Now, nobody know how much everyone is selling on Transgasm but its owners. That means that they could easily pick one of their close friends as the highest seller, or simply make up a fictitious “winner” and pocket the surgery money. This is not necessary what I speculate is going to happen, but it is something that is possible. Regardless, Transgasm owners will keep at least 25%, which is equal to the amount anyone might theoretically receive for the surgery.

Why do I speculate that this is how Transgasm works? For one thing, it is because that is how pyramid schemes often pass off themselves as “legitimate” multi-level marketing.

The main difference between so-called “legitimate” multi-level marketing and pyramid scheme is that legal ones like Amway sell actual products. Pyramid schemes often imitate this by “selling” otherwise worthless “products” among their participants to pretend that they are legitimate. But case histories are clear that they are nonetheless illegal pyramid schemes if the “products” are just pretense for transfer of cash, or de-facto entrance fee into the pyramid.

(Caution: “legitimate” multi-level marketing schemes are “legitimate” only in the sense that they are legal. In most “legitimate” multi-level marketing schemes, most people still lose money.)

Second reason I think Transgasm functions this way is the secrecy surrounding their “classes” in which they will teach people how to produce their products. If their goal is to help trans people access medical treatment they need, and they can actually help trans people learn to produce and sell marketable contents, why be so secretive? Why are they unable to publicize their superior knowledge so that everyone can benefit?

My speculation is that “contents” Transgasm will help people produce are only “marketable” within the scheme, and the primary “buyer” is the seller himself or herself.

If you are friends with Buck or Jody, please tell them that their scheme is both unworkable and illegal. It’s bad enough giving false hope to desperate trans people and then letting them down, but they can still turn back before they cause serious harm to their peers and possibly end up in jail themselves.